Exergy-based methods can be used as a tool for examining, comparing and assessing thermodynamic systems. In this paper, an exergoeconomic analysis is used to evaluate a power plant with chemical looping combustion (CLC) for CO2 capture. This oxy-fuel plant is compared, from an exergetic and an economic perspective, to a conventional, reference power plant without CO2 capture. The exergetic analysis shows decreased exergy destruction in the CLC reactors, compared to the exergy destruction in the conventional combustion chamber of the reference case; thus, the irreversibilities caused by combustion in the CLC are reduced. However, due to the addition of the CO2 compression unit, the overall exergetic efficiency of the plant with CLC is lower than that of the reference plant by approximately 5 percentage points. The economic analysis confirms a significant increase in the investment cost of the CO2 capture plant, due to the addition of the units for CO2 compression and CLC. Thus, the cost of electricity is 24% higher for this plant in comparison to that of the reference case. Nevertheless, when compared to the reference plant with CO2 capture with monoethanolamine, the plant with CLC was found to be a more economical option. Since CO2 abatement must be realized in the future, given expected environmental or tax measures, CLC provides relatively low cost carbon dioxide capture and it, therefore, appears to be a promising option for reducing greenhouse gases emitted by power plants using fossil fuels.